WallStSmart

Avnet Inc (AVT)vsScanSource Inc (SCSC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Avnet Inc generates 725% more annual revenue ($24.96B vs $3.02B). SCSC leads profitability with a 2.4% profit margin vs 0.9%. SCSC appears more attractively valued with a PEG of 0.62. AVT earns a higher WallStSmart Score of 59/100 (C).

AVT

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 4.5Value: 5.3Quality: 6.8
Piotroski: 3/9Altman Z: 3.40

SCSC

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 5.0Value: 8.7Quality: 8.0
Piotroski: 4/9Altman Z: 3.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AVTUndervalued (+73.8%)

Margin of Safety

+73.8%

Fair Value

$253.22

Current Price

$82.09

$171.13 discount

UndervaluedFair: $253.22Overvalued
SCSCUndervalued (+73.5%)

Margin of Safety

+73.5%

Fair Value

$130.65

Current Price

$45.90

$84.75 discount

UndervaluedFair: $130.65Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVT3 strengths · Avg: 10.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
33.9%10/10

Revenue surging 33.9% year-over-year

Altman Z-ScoreHealth
3.4010/10

Safe zone — low bankruptcy risk

SCSC5 strengths · Avg: 9.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.7710/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.628/10

Growing faster than its price suggests

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Areas to Watch

AVT4 concerns · Avg: 3.3/10
P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.3%3/10

ROE of 4.3% — below average capital efficiency

Profit MarginProfitability
0.9%3/10

0.9% margin — thin

Operating MarginProfitability
3.1%3/10

Operating margin of 3.1%

SCSC4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.5%4/10

2.5% revenue growth

Market CapQuality
$898.11M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
2.4%3/10

2.4% margin — thin

Operating MarginProfitability
2.6%3/10

Operating margin of 2.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : AVT

The strongest argument for AVT centers on Price/Book, Revenue Growth, Altman Z-Score. Revenue growth of 33.9% demonstrates continued momentum.

Bull Case : SCSC

The strongest argument for SCSC centers on Price/Book, Altman Z-Score, Debt/Equity. PEG of 0.62 suggests the stock is reasonably priced for its growth.

Bear Case : AVT

The primary concerns for AVT are P/E Ratio, Return on Equity, Profit Margin. Thin 0.9% margins leave little buffer for downturns.

Bear Case : SCSC

The primary concerns for SCSC are Revenue Growth, Market Cap, Profit Margin. Thin 2.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

AVT profiles as a hypergrowth stock while SCSC is a value play — different risk/reward profiles.

SCSC carries more volatility with a beta of 1.28 — expect wider price swings.

AVT is growing revenue faster at 33.9% — sustainability is the question.

SCSC generates stronger free cash flow (69M), providing more financial flexibility.

Bottom Line

AVT scores higher overall (59/100 vs 58/100) and 33.9% revenue growth. SCSC offers better value entry with a 73.5% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Avnet Inc

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

Avnet, Inc., a technology solutions company, markets, sells and distributes electronic components. The company is headquartered in Phoenix, Arizona.

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ScanSource Inc

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

ScanSource, Inc. distributes technology products and solutions in the United States, Canada, and internationally. The company is headquartered in Greenville, South Carolina.

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